Section 699 - Transition provisionsFor purposes of implementation of changes in tax rate and in amounts of taxable income subject to each rate applicable to any taxable year (whether or not such taxable year is a taxable year of twelve months) beginning in nineteen hundred ninety-five and nineteen hundred ninety-six, under subsections (a), (b) or (c) of section six hundred one, the tax is imposed and determined for each such taxable year in accordance with the following provisions:
(1) Taxable years beginning in nineteen hundred ninety-six. Paragraph two of subsections (a), (b) and (c) of section six hundred one, relating to imposition of the income tax for taxable years beginning in nineteen hundred ninety-six, establishes a new tax rate schedule effective on the first day of the taxpayer's taxable year, except that the highest rate of tax of seven percent shall not take effect until the first day of the fourth month of the taxpayer's taxable year beginning in nineteen hundred ninety-six. For purposes of implementation of the tax for taxable years beginning in nineteen hundred ninety-six, the highest rate of tax in each tax rate schedule shall be administered for the entire taxable year at the rate of 7.125 percent on New York taxable income in excess of (A) twenty-six thousand dollars in the case of married individuals filing joint returns and surviving spouses, (B) seventeen thousand dollars in the case of heads of households and (C) thirteen thousand dollars in the case of unmarried individuals, married individuals filing separate returns and estates and trusts.(2) Taxable years beginning in nineteen hundred ninety-five. Paragraph three of subsections (a), (b) and (c) of section six hundred one, relating to imposition of the income tax for taxable years beginning in nineteen hundred ninety-five, establishes a new tax rate schedule effective on the first day of the taxpayer's taxable year, except that the highest rate of tax of seven and one-half percent shall not take effect until the first day of the fourth month of the taxpayer's taxable year beginning in nineteen hundred ninety-five. For purposes of implementation of the tax, the highest rate of tax in each tax rate schedule shall be administered for the entire taxable year at the rate of 7.59375 percent on New York taxable income (A) in excess of twenty-five thousand dollars in the case of married individuals filing joint returns and surviving spouses, (B) in excess of nineteen thousand dollars in the case of heads of households and (C) in excess of twelve thousand five hundred dollars in the case of unmarried individuals, married individuals filing separate returns and estates and trusts.